Comment 34 for bug 708493

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Oren Held (oren-held) wrote : Re: cannot login anymore: Read from socket failed: Connection reset by peer

esodan, clint, if it is the same problem, then no need to research it from the beginning.
Check out my post at http://www.held.org.il/blog/2011/05/the-myterious-case-of-broken-ssh-client-connection-reset-by-peer/ , it tries to shed light on what's happening.